B.COM FA-1 MCQ's




Question 211 :
As per AS–2, inventory should be valued at

  1. Cost
  2. Lower of cost and net realisable value
  3. Realisable value
  4. Retail price
  

Question 212 :
Under _____ method stock is valued at oldest rate.

  1. FIFO
  2. LIFO
  3. All of the above
  4. Weighted Average
  

Question 213 :
Inventory should be valued at cost or M.V. whichever is _____.

  1. More
  2. Same
  3. None of the above
  4. Less
  

Question 214 :
Interest acurued on investment is shown in balance sheet on _____ side.

  1. Current Liability
  2. ficitious libility
  3. Assets
  4. None of the above
  

Question 215 :
ASB uses the following process in establshment of Accounting Standards

  1. Preliminary draft, Exposure draft, Final draft, Standard
  2. Standard, Exposure draft, Preliminary draft, Final draft
  3. Exposure draft, Preliminary draft, Standard and final draft
  4. None of the above
  

Question 216 :
Erection of a gas boiler to replace the old

  1. Capital
  2. Revenue
  3. D.R. Expenses
  4. None of the above
  

Question 217 :
Inventories may be valued by the _____ methods.

  1. different
  2. Written down
  3. Stright
  4. None of the above
  

Question 218 :
By-products, wastes and spares are to be valued at net realisable price if their value is not _____.

  1. Spare Parts
  2. Finished Goods
  3. None of the above
  4. material
  

Question 219 :
_____ expenditure is shown in Profit - Loss Account.

  1. Capital
  2. None of the above
  3. Revenue
  4. deferred revenue expenditure
  

Question 220 :
Cost of H.R. Department is allocated on the basis of _____ _____ _____ .

  1. Area of each Department
  2. Sale of each Department
  3. number of workers
  4. None of the above
  

Question 221 :
As per AS–2, cost of inventories should exclude

  1. Direct labour
  2. Interest on loans
  3. Factory overheads
  4. Cost of designing the product
  

Question 222 :
Legal expenses in connection with purchase of land ` 50,000

  1. Revenue expenditure
  2. Capital expenditure
  3. Deferred revenue expenditure
  4. None of the above
  

Question 223 :
Following is not debited to Departmental P - L A/c

  1. Rent
  2. Salaries
  3. Lighting charges
  4. Carriage on purchases
  

Question 224 :
The Rule followed in disclosure of accounting policies

  1. All significant policies should be disclosed
  2. Only a few policies should be disclosed
  3. Accounting policies should not be disclosed
  4. None of the above
  

Question 225 :
Rent, rates and taxes are allocated on the basis of _____ of each department.

  1. Sale
  2. purchases
  3. None of the above
  4. area
  

Question 226 :
AS 1 is _____.

  1. Optional
  2. Recommendatory
  3. Mandatory
  4. None of the above
  

Question 227 :
Following is an example of an accounting policy

  1. Going concern
  2. Entity
  3. Conservatism
  4. Conversion of foreign currency items
  
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